Refer to the figure above. If the relative price of S were to increase, then the price line would
A) shift out in a parallel fashion.
B) shift in in a parallel fashion.
C) become steeper.
D) become flatter.
C
You might also like to view...
When net exports increase,
A. the expenditures schedule increases. B. the expenditures schedule decreases. C. there is a corresponding increase along the aggregate demand curve. D. there is a corresponding decrease along the aggregate demand curve.
If the marginal propensity to consume (MPC) is 0.90, the value of the spending multiplier is 90
a. True b. False Indicate whether the statement is true or false
In the context of production possibilities curve analysis, the purpose of a state-supported terrorist attack is to
a. destroy as many resources as possible of a targeted nation in order to enhance its own security. b. shift the curve inward of the targeted nation by undermining its confidence to defend itself c. shift the targeted nation's possibilities curve to the right in order to increase the opportunity cost of making a first striker d. eliminate the targeted nation's ability to counterattack in case of war e. force the targeted population to decrease its own security expenditures
Voice-Beat is an earphone manufacturing firm. Suppose 900 units of earphones are demanded when the price of each unit is equal to $40 . When the price is $42 per unit, 837 units of earphones are demanded. On the basis of the given data, we can say that the price elasticity of demand of Voice-Beat earphones is: a. inelastic
b. elastic. c. perfectly inelastic. d. perfectly elastic.